Estonia has made significant progress in expanding broadband access through its EstWin fiber optic network project. The EstWin network has built over 6,500 km of fiber optic cable, providing fast internet access to rural areas. Local authorities have helped by streamlining regulations and coordinating infrastructure projects. However, 'last mile' connections to end users remain a challenge in some rural areas due to lack of private investment. Estonia is now preparing EstWin 2 to address these remaining market failures and complete nationwide broadband connectivity.

1. Sinu logo
Activities of Estonia in relation to the roll out of
broadband, rural internet connection, the role
of local authorities and how this has help local
economies and contributed to economic
progress
Aivo Lepp
Counsellor for Telecommunications
Permanent Representation of Estonia to the EU
Rue Guimard 11/13
Brussels BELGIUM
24.02.2016

2. Digital Agenda for Estonia 2020

3. Administration
Sinu logo
Ministry of Economic Affairs and
Communications is responsible for the general
ICT coordination
•IT legislation
•State policy about Information Society
Department of State Information Systems
Department of Public Services
Depertment of Electronic Communication

4. E-services
https://e-estonia.com/components/

5. Target: Everybody has access to fast
and free internet
1. The basic network of the next-generation internet will be completed.
2. Build-out of retail broadband network will be supported in regions of
market failure. This will be done by:
a. reducing administrative burden related to the construction of the
communications network by simplifying the relevant legal framework.
A principle will be introduced according to which “last mile”
connections will have to be built into any new government-funded
construction objects;
c. promoting community initiatives aimed at the development of
“last mile” connections;
d. supporting the development of “last mile” connections as
needed in areas of market failure, including in rural areas.
3. Availability of spectrum meeting the requirements of information
society will be ensured, allowing to guarantee internet access for end-
users in areas, where fixed networks are not available and are not ever
likely to become available.

6. Broadband ambition
Completion of the next generation broadband network.
To date, the construction of about one third of the total
6,500 km fibre-optical cable network has been finished.
By 2020, the development of the network will be fully
completed. This means that all residents of Estonia will
have access to fast (30 Mbit/s or faster) internet with at
least 60% of households will be using ultrafast (100 Mbit/s
or faster) internet daily.
www.mkm.ee

7. • Six years ago, was founded by all major Estonian
telecommunications companies Estonian Broadband
Development Foundation (ELA)
• ELA is non-profit organization.
• Network design, project management and application of funds
necessary to construct the networks is done by ELA.
• All the EstWin fiber optical networks belongs to ELA.
• 3rd party contractors for deployment and operations &
maintenance of the EstWin network will be selected via an open
tender process to ensure competition between alternatives.
www.elasa.ee
EstWin project leader and the
owner of the EstWin network

8. Estonia had in rural areas two existing optical backbone networks,
a total of about 5,000 km
The EstWin network is constructed only in rural areas where optical
network doesn’t exist (white areas)
• EstWin is a Backbone network;
• Fiber-based physical network (dark fiber);
• The network consists of fiber-optic cables, which are blown
underground microduct. Network connections are in outdoor or
indoor cabinets and along the route of network underground
manholes approx. 1.5 km intervals.
• Directly are connected to the EstWin network existing fix
operator sites, mobile masts and public institutions buildings.

9. Network design overview
O
D
F
O
D
F
O
D
F
O
D
F
O
D
F
O
D
F
Mobile
(Private & Enterprise)
Enterprise
Residential
Operator
Backbone Network
EstWin NetworkAccess Network
”last mile”
Operator A
Operator B
VDSL
Copper
Fiber
”End location”
”End location”
”End location”
”backbone”

10. Network elements
(www.elasa.ee)

11. EstWin network is a physical fiber network;
The owner of this network does not install any data
communication equipment into this network.
The owner of EstWin network will rent fiber network on
equal terms to all operators.
There will be established facilities to the final terminals of
EstWin network for operators to connect to the network.
For that purpose there will be equipment lockers or
containers with power supply at the final terminals of
network.
All operators renting the fibers can also rent an equipment
space and install their equipment to these final
terminals of network.

12. Fiber Optical Backbone Network in
Estonia before EstWin (www.elasa.ee)

13. EstWin Network 2020
(www.elasa.ee)

14. Sinu logo

15. • There is no specific legislation facilitating
broadband investment, but there is underway
discussions what should bring out most burden like
rules for example in The Law of Property Act and in
Construction Law. Rules are strict mainly for market
players and raise expenditure of projects - meaning
that “cable” is only small part of from delivering of the
infrastructure.
• Main breakthrough is legislative agreement with Road
Administration. Agreement lets to build infrastructure
directly by the roads. There have been also projects
that facilitate civil works synergies.
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16. Last mile connections from EstWin
network
• Last mile connections are greated by the operators who offer
Internet services to end users
• Last mile connections needs to be established by the
telecommunications operators in market conditions and where
there are enough potential customers
• In areas where potential customers are not enough, and
communications companies do not want to greate the last mile
network, is the market failure
• To overcome market failures we are preparing of a plan EstWin 2
to support the construction of the last mile network. The plan will
be ready by end of this year.
www.mkm.ee

17. Conclusion
• State aid for establishment EstWin network is effective and has
not harmful impact on the market and operators investments in the
rural area and has grown
• Guarantor of the EstWin project success has been the
cooperation of all stakeholders and taking into account the
interests of all
• Despite EstWin network is still in many places in rural where
operators are not able to build last mile network
• CEF may be one solution for financing last mile network in rural
• In order not to spoil the market, we must find a balance between
operators investment and state aid

18. Broadband roll-out (EstWin2)
Matket failuere in sub-urban areas

19. Broadband roll-out (EstWin2)
Matket failuere in rural area with existing network

20. Broadband roll-out (EstWin2)
Matket failuere in rural area with EstWin1 network

21. What people need in rural area?
(Mayor of Suure-Jaani)
1. Good roads
2. Roads without snow
3. Water
4. Canalization
5. Public transport
6. Phone
7. Internet

22. Why do people need internet in
rural area?
1. E-government services
2. Work
3. Communication
4. Information
5. Entertainment

23. Challange in rural areas(www.telia.ee)

24. Suure-Jaani example

25. Direct role of local governments
• Community joint
initiatives
• Network
construction-
related approvals